The Motley Fool·2025-12-28 14:15Core Insights - Companies often execute stock splits as a sign of strong performance and optimism for continued growth, which can attract investor interest [1] Group 1: Amazon - Amazon has executed four stock splits, with the latest being a 20-for-1 split in June 2022, resulting in a 170% increase in share price since then [4] - Amazon Web Services (AWS) is a leading global cloud provider, benefiting from the AI boom, with significant investments in custom AI chips to maintain market leadership [5] - The advertising segment is growing faster than e-commerce, with high margins and effective advertising opportunities leveraging first-party customer data [6] - In Q3, Amazon reported net sales of $180.2 billion (up 13% year over year) and operating income of $17.4 billion, with AWS growth at 20% [9] Group 2: Netflix - Netflix has performed multiple stock splits, with the most recent being a 10-for-1 split in November 2025 [10] - The company is expanding into high-growth areas like ad-supported tiers, gaming, and live sports, aiming for profitable expansion rather than just subscriber growth [11] - In Q3 2025, Netflix's revenue reached $11.5 billion (up 17% year over year) with an operating margin of 28% and free cash flow of $2.7 billion [12] Group 3: Nvidia - Nvidia has executed six stock splits, with the latest being a 10-for-1 split in June 2024, leading to a 55% increase in share price since then [17] - The company reported record revenue of $57 billion (up 62% year over year) in Q3 2026, driven by data center and GPU sales [18] - Nvidia holds an estimated 80% to 90% market share in the data center AI chip market, with a strong competitive advantage through its CUDA software platform [20][21] - Demand for Nvidia's next-generation chips remains high, with a backlog of $500 billion in orders, and the company is expanding into new markets like robotics and autonomous vehicles [23]